9911796707
TMI Blog2008 (2) TMI 476X X X X Extracts X X X X X X X X Extracts X X X X ..... does not agree with the explanation of the assessee with regard to lower consideration disclosed by him then he should refer the matter to DVO for getting its market rate established as on date of the sale to arrive at the correct sale consideration. If this provision is read in the sense that if the AO is not satisfied with the explanation of the assessee then he may or may not send the matter for valuation to the DVO then in that case this provision would be rendered redundant. Ld AR has relied on the decision of the Hon ble Supreme Court in the case of Ashok Leyland Ltd. vs. Union of India Ors. [ 1997 (2) TMI 451 - SUPREME COURT] held that the deeming provisions are rebuttable one In our considered opinion the befitting reply of all the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... taken by the Sub-Registrar. The assessee was show caused in this regard by the learned AO and the assessee vide his letter dt. 12th Feb., 2006 replied that since a legal suit was going on with regard to this land and there was a Nala adjacent to it that is why the land was sold below the DLC rate. But the AO after discussing sub-s. (1) of s. 50C of the Act came to the conclusion that the value of sale consideration of this plot has to be taken at Rs. 14,96,000 and thus he made the impugned addition. Certain other additions relating to claim of brokerage of Rs. 26,500 in the computation of capital gain on the sale of the above property and on account of disallowance of improvement cost were also made. All these additions were confirmed by th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sub-ss. (6) and (7) of s. 23A, sub-s. (5) of s. 24, s. 34AA, s. 35 and s. 37 of the WT Act, 1957 (27 of 1957), shall, with necessary modifications, apply in relation to such reference as they apply in relation to a reference made by the AO under sub-s. (1) of s. 16A of that Act. Explanation.-For the purpose of this section 'Valuation Officer' shall have the same meaning as in cl. (r) of s. 2 of the WT Act, 1957 (27 of 1957)." 4. After examining the provision extracted hereinabove in its letters and spirit, we are of the opinion that in case the AO does not agree with the explanation of the assessee with regard to lower consideration disclosed by him then he should refer the matter to DVO for getting its market rate establish ..... X X X X Extracts X X X X X X X X Extracts X X X X
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